Human Resource audits are intended to help identify whether an HR function’s specific practice areas or processes are adequate, legal and effective. The results obtained from this review can help diagnose gaps in HR practices, and HR can then prioritise these gaps in an effort to minimisee lawsuits or regulatory violations, as well as to achieve and maintain world-class competitiveness in key HR practice areas.
In addition to identifying areas of legal risk, audits are often designed to provide a company with information about the competitiveness of its HR strategy by looking at the best practices of other employers in its industry or the general moves in HR as Business Enablers. In essence, an HR audit involves identifying issues and finding solutions to problems before they become unmanageable. It is an opportunity to assess what an organisation is doing right, as well as how things might be done differently, more efficiently or at a reduced cost.
Types of Audits our Team of Experts offers:
An HR audit can be structured to be either comprehensive or specifically focused, within the constraints of time, budgets and staff. There are several types of audits, and each is designed to accomplish different objectives. Some of the more common types are:
- Compliance. Focuses on how well the organisation is complying with current local legislation.
- Best practices. Aids the organization to maintain or improve a competitive advantage by comparing its practices with worldwide best practices and contemporary trends in HR.
- Strategic. Focuses on strengths and weaknesses of systems and processes to determine whether HR’s strategies are aligned with Business Strategy and measures the level of success of horizontal and vertical integration.
- Function-specific. Focuses on a specific area in the HR function (e.g., learning and development, payroll, performance management etc).
The HR Audit we offer includes seven key steps, each of which is pre-discussed with the Client.
- Determine the scope and type of audit,
- Develop the audit questionnaire and check-list(s),
- Collect the data,
- Benchmark and analyse the findings,
- Provide feedback about the results in the form of report,
- Provide recommendation report or Create an action plan on improvement,
- Foster a climate of continuous improvement.
It is up to Client’s desire to order the full scope or select certain steps of HR Audit out of the above described seven.